TRAVEL: Global travel may be impacted by the war between Russia and Ukraine. Photo: NWR
TRAVEL: Global travel may be impacted by the war between Russia and Ukraine. Photo: NWR

Russia, Ukraine war can impact tourism

Oil prices, inflation add extra pressure
The World Tourism Organisation says the war in Ukraine poses new challenges to the global economic environment and risks hampering the return of confidence in global travel.
Ellanie Smit
While international tourism is continuing its recovery since the start of this year, Russia's war on Ukraine may pose new challenges for global travel.

According to the World Tourism Organisation (UNWTO), the war in Ukraine poses new challenges to the global economic environment and risks hampering the return of confidence in global travel.

It says that the recent spike in oil prices (Brent crude oil reached its highest levels in 10 years), and rising inflation are making accommodation and transport services more expensive, adding extra pressure on businesses, consumer purchasing power and savings.

“International tourism continued its recovery in January 2022, with a much better performance compared to the weak start to 2021. However, the Russian invasion of Ukraine adds pressure to existing economic uncertainties, coupled with many Covid-related travel restrictions still in place. Overall confidence could be affected and hamper the recovery of tourism,” says the UNWTO.

Based on the latest available data, global international tourist arrivals more than doubled ( 130%) in January 2022 compared to 2021 - the 18 million more visitors recorded worldwide in the first month of this year equals the total increase for the whole of 2021, it says.

“While these figures confirm the positive trend already under way last year, the pace of recovery in January was impacted by the emergences of the Omicron variant and the reintroduction of travel restrictions in several destinations. Following the 71% decline of 2021, international arrivals in January 2022 remained 67% below pre-pandemic levels.”

It says that the Middle East ( 89%) and Africa ( 51%) also saw growth in January 2022 over 2021, but these regions saw a drop of 63% and 69% respectively compared to 2019.

After the unprecedented drop of 2020 and 2021, international tourism is expected to continue its gradual recovery in 2022.

As of 24 March, 12 destinations had no Covid-related restrictions in place and an increasing number of destinations were easing or lifting travel restrictions, which contributes to unleashing pent-up demand.

In January, accommodation establishments in Namibia recorded an overall room occupancy of only 18.5%, which is almost 2% lower than in 2021, mainly due to cancellations in the sector when travel bans were imposed on Southern Africa

Last year January, room occupancy stood at 20.27%

The 18.5% of January 2022 is also still in stark contrast to January 2020, the last normal tourism month of that year, pre-Covid, that held a 37% occupancy.

Covid effects

Furthermore, comparison of January 2022 against 2021 also revealed, that the occupancy percentage from Namibians dropped by nearly 9%, from 61.4% in January 2021, to under 53% in January this year.

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Namibian Sun 2024-11-23

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